Responding to the pent-up channel demand for a managed wide area network (WAN) optimization solution with good margins, Exinda Networks recently paired its expertise in WAN technology with Level Platforms’ expertise in managed services.

Exinda’s technology, called Unified Performance Management (UPM), combines WAN optimization, application acceleration, application visibility and application response time measurements on an appliance.

This technology is now integrated into Level Platform’s Managed Workplace’s dashboard, providing VARs with complete visibility into the application performance of their customers’ IT infrastructure, said Stan Schreyer, Exinda’s vice president of sales for North America.

Schreyer said Exinda is the only WAN optimization vendor with a browser-based tool called Service Delivery Point  that delivers centralized management of its appliances throughout corporate networks. 

“Service Delivery Point integrates seamlessly with the Managed Workplace, enabling managed service providers (MSPs) to remotely monitor and manage their customers' IT environments through a single web-based dashboard,” he said.

More than 2,500 solution providers in 30 countries use Managed Workplace.

VARs that sign up with Exinda can expect generous margins of at least 20 points, said Schreyer. “Many VARs earn more than 30 points, depending on volume sales, end-user registration, and mutually agreed on targets and conditions.”

Schreyer said VARs can make money with Exinda in several ways. These include selling appliances, doing WAN optimization assessments, and capitalizing on managed services, which provide an ongoing revenue stream.

Schreyer added that Exinda sees lots of growth potential in the already well-established market of remote monitoring of managed services.

The market is forecast to reach nearly $36 billion within the next several years, according to a Gartner report published in October, 2006. The report, entitled ‘Forecast: Remote IT Monitoring and Management Services, Worldwide, 2005-2010,’ predicted a compound annual growth rate of 32 percent between 2005 through 2010.

The growth of hosted services, specifically hosted applications or SaaS (software as a service), is driving managed services revenue growth in the United States, according to a recent report from In-Stat, a research firm. In-Stat has forecast that hosted application revenues will grow from $8 billion in 2008 to $16 billion by 2012.

TAGS: SaaS, VARs, managed services

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